A mutual non-disclosure agreement (NDA) is a legal document used to protect confidential information that two parties mutually share with each other. This agreement helps to establish a confidential relationship between the parties involved and defines the terms and conditions for the use and protection of the confidential information.
Here is an example of a mutual non-disclosure agreement:
Mutual Non-Disclosure Agreement
This Mutual Non-Disclosure Agreement (“Agreement”) is entered into on ___________ (date) by and between ___________ (Party A) and ___________ (Party B).
1. Definition of Confidential Information
Confidential Information includes any information, data, or materials of any kind that are disclosed by either Party to the other Party, whether orally, in writing, or in any other form, that is designated as confidential or that would be understood as confidential under the circumstances of disclosure. Examples of confidential information include, but are not limited to, trade secrets, marketing strategies, financial data, and business plans.
2. Obligations of the Receiving Party
The Receiving Party agrees to maintain the confidentiality of the Confidential Information of the Disclosing Party and to use the Confidential Information only for the purpose of the business relationship between the Parties.
The Receiving Party agrees to take all reasonable measures to protect the Confidential Information of the Disclosing Party, including but not limited to limiting access to the Confidential Information and ensuring that all employees, contractors, and agents that have access to the Confidential Information are bound by confidentiality obligations that are no less protective than those contained in this Agreement.
3. Term and Termination
This Agreement shall be effective as of the date first written above and shall continue until ___________ (term). Either Party may terminate this Agreement at any time upon ___________ (notice period) written notice to the other Party.
4. Governing Law
This Agreement shall be governed by and construed in accordance with the laws of the state of ___________.
5. Entire Agreement
This Agreement constitutes the entire agreement between the Parties with respect to the subject matter hereof and supersedes all prior or contemporaneous oral or written agreements concerning such subject matter. This Agreement may not be amended, modified, or waived except in writing signed by both Parties.
In conclusion, a mutual non-disclosure agreement is essential to protect confidential information while engaging in a business relationship. This example NDA can help guide parties in drafting an effective agreement that covers their specific needs and provides the necessary legal protection.